2. The methodology used to identify, assess and classify the Company’s actual and potential impacts on people and the environment was based on information already available within the Group (in particular the mapping of major risks), and also on an analysis that is specifi c to the new framework of CSRD reporting. This logic was also used to identify risks and opportunities. The IROs were presented to the Risk Committee by the Group’s executive vice-president, Sustainability. Risks Opportunities Scope • Market risks: the Group’s inability to achieve its decarbonization targets. Risk of losing opportunities and market share if GEODIS’s offering is not in line with market expectations (no low-carbon offering or a low-carbon offering at too high a cost). • Regulatory risks: loss of business if the means implemented are not compliant. Additional costs due to poor anticipation of GHG regulations (carbon tax, emission trading schemes, etc.). • Technological risks: inadequate development of alternative energy distribution infrastructures, availability of low-carbon vehicles, limited supply of low-carbon energies. Investment costs in technological and energy transition making their development uncompetitive. • Growth in business through well-positioned low-carbon services (meeting customer needs, accessing new markets, diversifying the customer base). • Increased modal shift (road to rail or air to sea or rail) and development of alternative technologies (biofuels, electric, etc.). • Improved energy efficiency of sites and vehicles. Reduced costs through lower energy consumption. • Engagement of employees who expect GEODIS to be a committed player: positive impact on attracting and retaining talent. Own operations, upstream and downstream value chains • Operational risks: interruption of activity, inability to carry out essential logistics assignments (e.g. health sector or products requiring temperature-controlled storage). Damage to goods and equipment. Decline in customer service quality. • Financial risks: loss of revenues. Cost of remediation and restoration. Insurance risks. Adaptation costs (CapEx and OpEx). • Health & Safety risks: risk of incident, injury, illness and death. Degraded working conditions that could lead to employee withdrawal. Risk of illness and dehydration. • With good risk anticipation, the Group will be able to ensure the continuity of logistics operations for essential goods (e.g., the healthcare sector) in the event of extreme climate events. • The Group’s ability to protect employees and property. Own operations, upstream and downstream value chains • Regulatory risks: stricter requirements for access to Low Emission Zones (LEZ), which are likely to have an impact on the transport and delivery of goods in major conurbations, necessitating changes in logistics solutions. • Financial risks: loss of opportunities and market shares if GEODIS’s offering does not align with market expectations, higher cost of adapting fl eets. • Reputational risks: damage to the Group’s image among customers and employees. • Health & Safety risks: impact on the health of employees and society at large. • Differentiation through implementation of low-emission solutions that enable growth in business and market share beyond regulatory compliance. Own operations, upstream and downstream value chains • Financial risks: higher fuel and energy costs due to growing scarcity of non-renewable resources. Poor anticipation of the investments needed for the energy transition. • Strategic risks: high degree of dependence on fossil fuels, with a risk of limited access in the event of geopolitical tensions over energy sources. • Operational risks: in the event of supply tensions, supply chain disruptions could have an impact on the Group’s business and customer service. • Regulatory risks: potential impact on certain costs in the event of more stringent obligations on renewable sourcing (percentage of renewable energy or renewable materials). • Development of new businesses linked to the circular economy, drawing on the Group’s know-how (such as specialized reconditioning services to satisfy customer demand). • Effi cient resource management resulting in better cost control, which can be a competitive advantage. Own operations, upstream value chain 2024 ACTIVITY AND SUSTAINABILITY REPORT - 35 EDITORIAL > 1. GROUP PROFILE > 2. GENERAL INFORMATION > 3. ENVIRONMENT > 4. SOCIAL > 5. ETHICS > 6. ANNEXES
RkJQdWJsaXNoZXIy NzMxNTcx